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Two suppliers have been contracted by a government agency to provide a total of 250 hours of training services to help agency employees learn how to use a new computer system. The marginal cost curve of firm 1 is MC1=15+.4Q1, while the marginal cost curve for Firm 2 is MC2=30+.6Q2. There are no fixed costs. Firm 1 provides 175 hours of training services each week, while firm 2 provides 75 hours of training services. What is the total cost to firm 1 of providing 175 hours of training? What is the total cost to firm 2 of providing 75 hours of training?
Sew ‘N More just paid an annual dividend of $1.42 a share. The firm plans to pay annual dividends of $1.45, $1.50, and $1.53 over the next 3 years, respectively. After that time, the dividends will be held constant at $1.60 per share. What is this st..
How does the Coase Theorem provide an alternative to government regulation and provision of services? How is the definition of private property critical to the Coase Theorem?
Swagelok Co. of Solon, Ohio, makes variable area flow meters (VAFs) that measure liquid and gas flow rates by means of a tapered tube and float. If tooling and setup costs were $400,000 in year 0 and an additional $190,000 in year 3, determine the ex..
Assume the economy is in short-run equilibrium and there is less than full-employment output. Also assume that the marginal propensity to consume (MPC) is equal to 0.8. What is the value of the government spending multiplier in this case? Given the s..
From the supply and demand schedules, from Belgium what are the equilibrium price also quantity of cocoa beans.
q.smith and jones are stranded on a desert island. each has in his possession some slices of ham h and cheese c. smith
Bob hires Johnny to sell newspapers. Bob tells Johnny to sell the newspapers for $1.00 each. Bob has given Johnny what type of authority? A female who believes that she is being paid less than her male colleague may be able to claim that the pay diff..
suppose there are 50 honey producers in the market. What is the equilibrium price of honey? How much profit does an individual producer make in a month?
Suppose you own a portfolio consisting of $250,000 of long-term U.S. government bonds. What is the least risky security you can think of? Explain. Would your portfolio be riskless? Explain.
If a machine cost $50,000 initially and is expected to last for 20 years but is worth $60,000 after one year because it is in short supply, an accountant most likely would say that:
How much profit does an unregulated monopolist earn? How much profit would be earned if MC pricing were imposed?
Illustrate what do your previous answers imply for the price of haircuts relative to the price of food.
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